Cracker Barrel's Stock Is Taking A Major Plunge, And The Reason Is Clear

You shouldn't judge a book by its cover. But, by applying that same logic to a restaurant's sign, Cracker Barrel's logo design change shouldn't have mattered much — but it definitely did. Trading View showed a plunge of nearly $100 million in market value with a loss in value of 8.54% in just a five-day period — with the downward slide beginning after the brand released a new logo on Thursday, August 21. As of August 25, at 3:31 UTC -4, the stock price was $53.80, down from $59.02 on August 20 at 3:45 UTC -4, with prices continuing to fluctuate. 

The logo at the center of this controversy, pictured above, had served as the store's well-known branding for several decades, showing a man known as Uncle Herschel relaxing on a chair with his elbow resting on a barrel. The brand used this image to evoke nostalgic feelings about folks coming together in a local gathering spot to share stories and stay in touch with one another's lives. In contrast, the new logo uses the same color scheme but only lists the store's name and in a cleaner font — a much more contemporary look. 

To be fair, Cracker Barrel isn't the only restaurant chain that's been grappling with uncertainty in a changing market. Many restaurant chains have been struggling (with many well-loved restaurants also facing bankruptcy). Plus, longer-term looks at Cracker Barrel's financial performance from 2021 onwards at Trading View demonstrate a pretty dramatic fall, showing that the logo isn't totally to blame. In April 2021, someone interested in buying a share of Cracker Barrel stock would pay $175.09 whereas in August 2025 before the new logo debuted, shares sold for just under $60. That's about a third of its value compared to four years and four months before.

The plan by Cracker Barrel to freshen its branding hasn't been kept a secret, either. The company had actually announced it in May 2024, but this attempt to modernize its look and feel nevertheless met with strong resistance when it actually happened. This restaurant, opening in 1969, promised its diners good hometown cooking, country-style, and today's disgruntled fans believe that Cracker Barrel has strayed too far from its roots. Fox News has called the changes part of the woke movement and criticized at least one board member for his DEI stance. One tweet liked by nearly 10,000 people complained that this branding was without soul. Cracker Barrel's response on Facebook promised that the old-timer, Uncle Herschel, would live on in the name of one of their returning breakfast platters, but the hundreds of people who responded to this announcement didn't seem appeased. 

Cracker Barrel aficionados may also be responding to menu changes. On August 19, the brand provided glimpses of their new menu. Besides the return of the Uncle Herschel Favorite breakfast, they're adding offerings like Butter Pecan French Toast Bake, Hashbrown Casserole Shepherd's Pie, Brown Sugar Latte, and more. Although it's hard to complain about these menu items, people often simply don't want change at their favorite restaurants. (After all, one of McDonald's new menus was said to cost them more than $100 million.) Although the upcoming new fall menu at Cracker Barrel certainly isn't their first such announcement, coming in tandem with a significant logo change may have been enough to tip the barrel.

In an attempt to calm the situation down, Cracker Barrel released a statement telling people that its values would never change. They promised that other signature elements of their brand, such as rocking chairs on the porch, unique gift items in the shop, and a warming fire on the hearth during chilly days will remain at the heart of what they deliver. Now it remains to be seen how diners and investors respond.